Xeros has announced that it is in the process of raising £6m through a placing (and an open offer raising up to £1m). Further, the company has announced interim results highlighting a net cash position of £2.6m at the end of August. Cash burn, at £0.5m/month, is consistent with our forecasts and, coupled with the proposed fund raise, should fund the business to expected profitability in FY2024E. We adjust our forecasts for the fund raise, which includes rebasing our target price to 25p/share.
30 Sep 2022
Xeros - Fund raise should allow XSG to reach profitability
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Xeros - Fund raise should allow XSG to reach profitability
Xeros Technology Group Plc (XSG:LON) | 1.3 0 0.0% | Mkt Cap: 6.90m
- Published:
30 Sep 2022 -
Author:
Michael Clifton | Cavendish Research -
Pages:
4
Xeros has announced that it is in the process of raising £6m through a placing (and an open offer raising up to £1m). Further, the company has announced interim results highlighting a net cash position of £2.6m at the end of August. Cash burn, at £0.5m/month, is consistent with our forecasts and, coupled with the proposed fund raise, should fund the business to expected profitability in FY2024E. We adjust our forecasts for the fund raise, which includes rebasing our target price to 25p/share.